Villagers have reacted angrily after a Teesside developer revealed he will continue his fight to stop the demolition of his £400,000 house.

Peter Howell, 61, of Elton, near Stockton, gained outline planning permission for a dwelling in January 2004.

But building began before a detailed permission was determined and several applications for retrospective approval have been refused.

Local residents told planning inspector, Jacqueline North, that the building was not the 'modest' dwelling expected and was 'out of place' in the village.

Now despite a public inspector ruling it must be torn down, the elation of local campaigners is on hold. Mr Howell is applying for a judicial review and the saga could go on for months.

Pensioner Elsie Poole, who lives near the house, said: "I don't know what part of no he doesn't understand. Hambleton Council has issued four refusals on the scheme and there have been two public inquiries. He should obey this instruction to demolish. It's a huge house - a blot on a pretty village. He's wasting everyone's time and money."

Neighbour Maureen Dent said: "The original plan for this was going to be a modest house but when they started laying the foundations, it was huge.

"A judicial review will only decide if there have been any unfair decisions against him in the planning process.

"Any further delay is only going to cost Mr Howell more money."

The period-style house has never been lived in. Hambleton's development control committee placed a demolition order on it 12 months ago. But they agreed to wait for the results of an appeal lodged by Mr Howell, and planning inspector Jacqueline North ruled the house was not in keeping with the character of the village.

But Mr Howell said: "My main concern is to talk to Hambleton councillors to see if a compromise can be reached. I'm the victim here. It's not a bigger house."

Hambleton Council is taking legal advice to decide what action to take on the review.